Generac Holdings designs, manufactures, and markets power generation equipment and other engine powered products for the residential, light commercial, industrial, oil and gas, and construction markets in the United States, Canada, and internationally. The company was founded in 1959 and is based in Waukesha, Wisconsin.
GNRC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Generac Holdings Inc. To summarize, we found that Generac Holdings Inc ranked in the 21th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 67.83%. The most interesting components of our discounted cash flow analysis for Generac Holdings Inc ended up being:
The stock's equity weight, or the proportion of capital from equity relative to debt, is 92. Notably, its equity weight is greater than 84.31% of US equities in the Industrials sector yielding a positive free cash flow.
The business' balance sheet reveals debt to be 8% of the company's capital (with equity being the remaining amount). Approximately merely 19.59% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
GNRC's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 39.98% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Industrials that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as GNRC, try BDC, CNI, PNR, TWI, and CLCT.
LOS ANGELES, United States: The report is an all-inclusive research study of the global Power Generator Product market taking into account the growth factors, recent trends, developments, opportunities, and competitive landscape. The market analysts and researchers have done extensive analysis
Generac ([[GNRC]] +5.3%) jumps to within $3 of its all-time high after winning bullish Wall Street commentary citing potential upside to near-term results from recent storms and blackouts in California."We size the incremental opportunity from 3Q storms at $80M-plus of revenue, or $0.40/share of earnings," KeyBanc analyst Jeffrey Hammond writes,...
DR Power Equipment, a division of Generac Holdings (GNRC), has closed a purchase agreement to acquire the assets of Mean Green Products, a battery powered, commercial grade turf care manufacturer, headquartered in Ross, Ohio.DR Power Equipment designs and manufactures a full line of professional-grade, outdoor power equipment. Mean Green Products...